For now, $SPX is working its way higher -- towards resistance at the 1240-1260 level.

Equity-only put-call ratios generated buy signals recently, and have generally been declining (bullish) ever since.

Breadth indicators are on buy signals, too. They have reached modestly overbought levels now, after having been deeply oversold a week ago.

There have been four spike peak buy signals from $VIX in the last month, with the most recent occurring this past Monday/Tuesday.

In summary, the short-term indicators are bullish at this time. A breakdown below $SPX 1140 would be very negative.

Lawrence G. McMillan is the author of two best selling books on options, including Options as a Strategic Investment, and also publishes several option trading newsletters.